Tuesday, 07 May 2019

South Africans are about to vote in the most competitive election they’ve had since democracy began in 1994. But, despite this, the poll will have far more impact on the factional battle within the governing African National Congress (ANC) than on the contest between it and other parties for control of government.

The election follows a decline in the ANC vote from just under 70% in 2004 to around 54% in 2016’s local elections. This seemed to signal that the ANC was no longer guaranteed re-election nationally and in most provinces. There has been much talk of the ANC vote sinking below 50%, forcing it to seek coalition partners if it wants to govern.

In Gauteng, the country’s economic heartland, the ANC won only 46% in the 2016 municipal elections and was forced into opposition in two metropolitan areas – Tshwane and Johannesburg. This happened because the Economic Freedom Fighters (EFF), a breakaway from the ANC which espouses a more militant brand of African nationalism, agreed to support the country’s second biggest party, the Democratic Alliance (DA), even though they differ on just about everything. This raised the possibility that a similar arrangement this time will mean the ANC will no longer govern in Gauteng or nationally.

So, is South Africa about to see its first election in which national power changes hands? No. The ANC is almost certain to remain in government in all the eight provinces it controls, including Gauteng. This will leave the Western Cape, which the DA holds and is likely to retain despite claims that it is in trouble, as the only province in which the ANC is not in government.

This prediction is not based on opinion polls which, in this election, have continued their tradition of doing more to confuse than inform. One poll has the ANC at 61%. Another says it is on the cusp of losing its majority . The DA’s projected vote veers just as wildly. The only constant is claims that the EFF will improve although this is not what is happening in municipal by-elections, where its support remains largely unchanged.

So, the polls tell us little and there is a good argument for ignoring them. But they do have one use. They largely agree on what won’t happen: the ANC won’t lose power.

Why the ANC is sitting pretty

Predicting that the ANC will remain in government outside the Western Cape is based on political common sense.

Talk of the ANC dropping below 50% often ignores the reality that, just about everywhere, the opposition is far behind it. The nearest an opposition party comes to challenging it outside the Western Cape is in Gauteng where the DA won 37% in 2016. Elsewhere, the nearest opposition party trails by 30 percentage points or more. The only way the ANC could be removed from government is by another deal between the DA and EFF.

But EFF leader Julius Malema has said that it will not make a deal with the DA and is more likely to look to a coalition with the ANC. What politicians say about coalitions cannot always be taken seriously and later Malema said the EFF would consider a coalition with the DA or ANC if they agreed to improve conditions in the townships where black poor people live.

But a DA-EFF coalition seems impossible, whatever Malema says now. For one thing their positions on land, a core EFF concern, are diametrically opposed. This does not matter in local government, which does not decide on land policy. It would matter hugely in national government and to a degree in the provinces.

If there is no DA-EFF deal, the only way the ANC can lose its hold on government anywhere is if either party wins a majority or at least enough to allow them to govern with small parties. But in Gauteng, no poll puts the DA above 38% - its numbers elsewhere are much weaker. In North West province, the ANC’s weakest outside Gauteng and Western Cape, the EFF is the second biggest party and it won only 16% in 2016. No poll has the EFF vote improving by more than eight percentage points.

ANC factions

Nationally and outside the Western Cape, then, two results are possible: the ANC wins a majority or is by far the biggest party and the only one able to form a coalition.

The reality which predictions of a change in government ignore -– the absence of another party which could defeat the ANC – means that, even if the ANC does as badly as one poll says it will, it will still be the party of government just about everywhere.

But, while the election will not change the government, it may change the balance between the two factions which compete for power within the ANC. -– One supports President Cyril Ramaphosa; the other backed former president Jacob Zuma.

The Zuma faction is still strongly represented in ANC decision-making forums. The battle between the two factions continues and the difference between them is often greater than that between the ANC and parts of the opposition. It is impossible to make sense of anything the ANC does without knowing which faction was behind it.

Ramaphosa was elected in 2017 because key ANC figures, most notably current deputy president David Mabuza, believed the ANC could not win this election if it was led by the Zuma faction. Ramaphosa’s credibility with some ANC power brokers depends, therefore, on showing that he can stem the ANC’s decline at the polls.

If the ANC improves on its 2016 vote, Ramaphosa will have presided over the first increase in its vote for 15 years. This will greatly improve his chances of winning re-election as ANC president at its next conference in 2022 because it will signal to ANC politicians that he can deliver more seats.

Because many South Africans are excluded from the benefits of the market, seats in municipal councils and legislatures are often the only ticket into the middle-class. So, an ANC gain in this election is certain to strengthen Ramaphosa now and in 2022 by showing that his leadership offers more opportunities to ANC politicians.

Even if it matches the last result or comes close, ANC power brokers could decide that Ramaphosa saved them from the opposition benches.

If the ANC drops to near 50%, whether Ramaphosa would be at risk of losing in 2022 would depend on whether ANC delegates could be persuaded to blame Zuma and his supporters. That is hardly assured. What is clear is that, the worse the ANC does, the better the Zuma group’s chances are of removing Ramaphosa at the national conference in 2022.

The two factions have very different approaches to governing and so the battle between them affects the country’s future. It is this battle, not that between the parties, which will be shaped by the election result.

This article was updated to reflect the correct date for when the ANC could remove Ramaphosa, if they chose to do so.The Conversation


Steven Friedman, Professor of Political Studies, University of Johannesburg

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Published in Opinion & Analysis

South Africa goes to the polls on Wednesday with the leaders of the three main parties vying for votes in a race that could test the ruling ANC's long-held dominance.

Here is a look at the three party leaders:

CYRIL RAMAPHOSA - African National Congress (ANC)

Cyril Ramaphosa, the leader of the ruling ANC party, finally came to power last year after a dramatic and varied career intertwined with the birth of modern South Africa.

He was a pioneering young trade union leader, an anti-apartheid activist and the Nelson Mandela protégé who led talks to end white-minority rule and helped write the new constitution.

When Mandela walked out of jail in 1990, Ramaphosa was standing alongside him. But after missing out on becoming Mandela's successor as president, Ramaphosa instead became a hugely wealthy businessman through stakes in McDonalds, Coca-Cola, mining and telecoms, and developing a taste for breeding rare cattle.

In 2012, his image was badly tarnished when 34 striking mine workers were killed by police at the Marikana platinum mine, operated by London-listed Lonmin, where he was then a non-executive director.

Ramaphosa had called for a crackdown on the strikers, whom he accused of "dastardly criminal" behaviour. He returned to politics to become Jacob Zuma's vice president in 2014, often drawing criticism for failing to speak out against corruption and government mismanagement.

Renowned for his patience and strategic thinking, Ramaphosa narrowly beat off pro-Zuma rivals to take over leadership of the ANC party in 2017 and then claim the presidency when Zuma was forced out last year.

Ramaphosa attracts a support base crossing South Africa's racial and class divides, but still faces strong opposition from inside the ANC.

"This is a decisive moment in our country, in the history of South Africa, this is a moment when... we choose hope over despair," he told supporters at the final ANC campaign rally.

Born in Johannesburg's Soweto township, Ramaphosa took up activism while studying law in the 1970s, and spent 11 months in solitary confinement in 1974.

MMUSI MAIMANE - Democratic Alliance (DA)

Mmusi Maimane, 38, is the first black leader of the Democratic Alliance, South Africa's main opposition party.

Raised in the Johannesburg township of Soweto -- heartland of the anti-apartheid struggle -- Maimane only joined the DA in 2009 and was fast-tracked through its ranks to take control in 2015.

His rapid promotion led to accusations that he was being used by the party's senior white activists to cover up lack of reform within the party. A gifted orator and smooth campaigner, he has kept the DA in the spotlight, broadened its appeal and held together its warring factions.

But he has struggled to land punches on Ramaphosa or to convince many black middle-class voters that the DA is not still a "white" party.

A devout Christian, he has a masters degree in Theology and regularly preaches at church, where he met his white wife Natalie.

Before getting into politics, Maimane ran his own management consultancy and lectured at a business school in Johannesburg.

His reserved leadership style could come under question if the DA fail to make significant gains on top of its 22 percent of the vote in the 2014 election.

JULIUS MALEMA - Economic Freedom Fighters (EFF)

Julius Malema, 38, is the former ANC youth leader who launched the Economic Freedom Fighters (EFF) party in 2013 and, against all the odds, has turned it into a political force.

He was kicked out of the ruling party after coming into conflict with the leadership but has thrived as a rebel, delivering fiery speeches spiced with jokes and digs at Ramaphosa, the ANC and South Africa's white minority.

Presenting himself as the voice of the young and unemployed, he demands the seizure of land from whites without compensation and the nationalisation of the mines and banks. His threat to the ANC was underlined last year when Ramaphosa adopted a similar stance on land reform to try to hold onto voters.

Wearing a red beret and styling himself as "commander in chief", Malema hopes to ride a growing wave of discontent among the poorest of South Africans, 25 years after the end of apartheid.

During Jacob Zuma's reign as president, he led his lawmakers in a campaign to disrupt parliament by chanting and heckling, before being thrown out by security officers.




Published in Economy

The Nigerian Electronic Fraud Forum, NeFF, has disclosed that that a total of 63,895 bank customers in Nigeria between 2017 and 2018, lost N3.6bn to cyberfraud.

This was disclosed by the Chairman, NeFF, Sam Okojere, while presenting NeFF’s 2018 annual report on in Lagos.

Okojere, who is also the Director, Payments System Management Department, Central Bank of Nigeria, CBN, said: “In the latest Nigeria Inter-Bank Settlement System fraud landscape report, it was reported that an actual loss of N2bn was suffered by the industry in 2018 compared to N1.6bn in the preceding year.

“The volume also increased to 38,852 from 25,043 reported in 2017. Of these figures, the mobile channel recorded the highest volume and value, with an estimate of 11,492 in volume and N598.8m in actual loss value, calling for concerted efforts by all stakeholders to tame future escalation.”

According to Okojere, it was expected that the phenomenal growth and transformation of any payment system like Nigeria’s, would naturally be accompanied by corresponding growth and sophistication in electronic and cyberfraud schemes.

He however said the difference may be the approach to be adopted by regulators and operators, adding that the forum was formed to, among others, foster collaboration among banks, payment service providers, telecom operators, the law enforcement agencies, other regulators and other stakeholders within the payment ecosystem and beyond.

Insisting that the partnership has been successful, Okojere noted that evidence of such partnerships from the past involved major collaboration with the Office of the National Security Adviser to utilise the Nigerian Computer Emergency Response Team, domiciled in the office, to address cyber challenges faced by members of NeFF.

He said: “There had been ongoing negotiations with the telecommunications industry aimed at taming SIM swap fraud in the country, and the negotiations have reached an advanced stage. The partnership with the telcos is increasingly becoming important considering the behaviour of fraud attempts and losses in the country.”

Published in Bank & Finance
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